1.) A reference to Mexican sweet bread that is bought at mom and pop grocery stores, bakeries, and or HEB's in south Texas.
2.) A slang for pussy used in the derrogatory manner, much like the slang "joto", "maricon", translated to english meaning queer or faggot.

1.)Can you run to the store and buy some pan de dulce?

2.)Ricky is all pan de dulce because he hasn't gotten that pan de dulce from his chick.